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Tag: looted fund

  • Fed Govt: apology not enough, return looted fund

    THE Peoples Democratic Party (PDP) should complete its apology to Nigerians by returning all the funds looted from the public treasury during its 16 years in power, the Federal Government has said.

    A statement issued in Abuja yesterday by Minister of Information and Culture Lai Mohammed challenged the party to show the genuineness of its apology through a discernible change of attitude.

    “The PDP presided over an unprecedented looting of the public treasury, perhaps the worst of its kind in Nigeria or anywhere else in the world.

    “Therefore, the best evidence of penitence for such a party is not just to own up and apologise, but to also return the looted funds as anything short of that is mere deceit.

    The minister said with the paucity of funds, the administration had spent an unprecedented amount of money on infrastructural development and Social Investment Programme, among others.

    He added that returning looted funds would provide more money for the programmes and make life more meaningful for Nigerians.

    Mohammed also reminded the PDP of the quote: “If you find yourself in a hole, stop digging,” saying it applies to the PDP at this time.

    “PDP, press the reset button. Stop sabotaging the work of this administration, which is packing the mess you left behind, through your reckless statements and unfounded allegations.

    “Play responsible opposition politics. Put Nigeria’s interest over and above partisan interest.

    “Temper your desperation to return to power. Spend quality time in the purgatory and you will be forgiven,” he said.

    The PDP had on Monday reflected on its 16 years stewardship and admitted it made mistakes and asked Nigerians to forgive its wrongdoings.

    Its National chairman, Prince Uche Secondus, who spoke at a public discourse, had said the party was sorry for its mistakes.

     

  • Fed Govt to recover another $321m looted fund

    Fed Govt to recover another $321m looted fund

    The Federal Government will aggressively pursue the recovery of additional $321m looted fund domiciled in Switzerland.

    This follows the approval of the move yesterday by the Federal Executive Council (FEC), Minister of Justice and Attorney General of the Federation Abubakar Malami, said yesterday.

    Last month, the minister announced that $85m had been recovered out of the amount that should accrue to the country from the controversial Malabu oil deal.

    He was with Minister of Information Lai Mohammed, Minister of Agriculture Audu Ogbeh, Minister of Water Resources Suleiman Adamu and Minister of Trade and Investment, Okechukwu Enelamah.

    Malami said: “As you are aware, the Federal Government has been making efforts to recover stolen funds, loot, assets and the efforts have been indeed yielding fruits particularly as it relates to local recoveries. A memo has been presented to council this afternoon by the office of the Attorney General which is intended to shift focus to international recovery.

    “Before going into the memo, I think it is important to bring to your attention that recently, about a week ago, we succeeded in recovering 85million dollars relating to Malabu issues from U.K.

    “And then, now, there exist a forum, that is Global Assets Recovery Forum taking place in December, in US and we are looking towards that, we are in agreement substantially with Swiss for the recovery of additional sum of 321million dollars.

    “That memorandum of understanding has been substantially agreed between Nigeria and Swiss. We intend to now execute or to sign off the agreement during the global forum on assets recovery coming up December.

    “The intention of the memo, one is to seek the approval of the council to allow the Attorney General to sign the agreement on behalf of the Government of the Federation of Nigeria. Two, is to develop an instrument of ratification which will now give the Attorney General, the powers to ensure the repatriation of the funds.

    “It is collectively agreed upon between Nigeria and Swiss that we on own part should seek the approval of council to ratify the MoU as agreed, and they on their own part too, procure the instrument of ratification that will now give the respective officers of the two countries the desire power and effect to now sign off on the agreement.

    He said that the Council had approved the memo.

    “The implication of which is that the MoU as negotiated between Nigeria and Swiss has been agreed and ratified by council and then the Attorney General has been mandated to execute the agreement that will see to the repatriation of the 321million dollars and added to it to develop the instrument of ratification that will be expected from both sides of the device which will constitute the basis for the signing of the agreement in December in US during the global forum on assists recovery.” he said

    Minister of Trade and Investment Dr. Okechukwu Enelamah said FEC celebrated Tuesday’s ranking of Nigeria in the World Bank Doing Business report, which moved Nigeria 24 places up from its last ranking on ease of doing business.

    He said the ranking was significant because it exceeded the target of the Presidential Enabling Business Environment Council (PEBEC) which only sought to move Nigeria 20 places up.

    Describing the feat as a turning point for Nigeria in view of the persistent decline in Nigeria’s ranking on ease of doing business in the last 10 years, Enelamah said the ranking showed that the government was moving in the right direction. However, he said what was paramount to FEC would be to see the ranking translate to practical ease of doing business in the country.

    He also said FEC commended the National Assembly for passing some bills which enabled owners of small and medium enterprises (SMEs) to obtain loans for their business transactions. He commended states which partnered with the council in the pursuit.

    He said the National Action Plans one and two which were recently launched were yet another round of reforms being pursued by the government to enhance Nigeria’s business environment.

    Minister of Water Resources Suleiman Adamu said the council approved N40.2 billion for the completion of an irrigation dam in Kotangora in Niger State.

    He said the project which had been under execution since 1985, witnessed the upward review of the initial N18 billion required to complete the project to N40.2 after rigorous analyses.

    The duration of the project is 36 months.

    Adamu said the National Irrigation Master Plan launched in 2016 would guarantee the provision of irrigation for 100,000 hectares of land..

    Minister of Agriculture Audu Ogbeh, who said despite government efforts to boost local production, massive smuggling of rice into Nigeria through land borders has remained a great challenge.

    The minister also said FEC approved a memo to spray pests destroying farm produce in 11 states in the North using aircraft. He listed the states to include: Zamfara, Kebbi, Kano, Yobe, Borno, among others.

    He also said there was a suggestion to consider using drones to spray the pests which, he said, were coming to Nigeria from neighbouring Niger Republic, noting that using drones for the exercise will be cheaper.

  • Battle to recover looted funds shifts to Dubai

    Battle to recover looted funds shifts to Dubai

    Attorney-General of the Federation/Justice Minister  Abubakar Malami and Economic and Financial Crimes Commission(EFCC) Chairman  Ibrahim Magu have landed in Dubai,United Arab Emirates  (UAE) in a renewed battle to retrieve the  looted funds allegedly stashed in that country by Nigerian politicians.

    The two ranking officials,The Nation can now report,are already comparing notes with their UAE counterparts on how to repatriate the money back home.

    It is Malami’s and Magu’s second trip to UAE in one year on the issue.

    Choice mansions and malls in Dubai are some of the assets traced to the  suspects, including serving public officers.

    The Federal Government has in its possession a list of such Politically Exposed Persons( PEPs) and their assets.

    The current trip by Malami and Magu comes on the heels of on the spot investigation of the bank accounts and landed properties of the affected suspects by a team of EFCC detectives,sources familiar with the matter said yesterday.

    It was during one of the trips that the detectives uncovered two luxury apartments, worth  74m Dirham, which they believed  to belong to former Petroleum Resources Minister Diezani Alison-Madueke in Dubai.

    Others exposed  by the investigation to  have  looted cash and properties in Dubai include a former First Lady, five ex-governors, six former ministers, a former Comptroller-General of the Nigeria Customs Service( NCS), and one or two former presidential aides.

    One of the sources said yesterday that the Malami/Magu trip  is a follow up to “the pact between the Federal Government and the UAE authorities last year.”

     The source said the list of the suspects “will be submitted to UAE authorities for verification and confiscation. The UAE government has promised the Federal Government that it will not shield any suspect.

    “Some of the assets under investigation have been traced to some serving and  former governors, ex-ministers and some beneficiaries of the $2.1billion arms scandal.

    ” For instance two apartments, worth about 74million Dirham, have been traced to ex-Minister of Petroleum Resources, Mrs. Diezani Alison-Madueke.

    “The apartments include one marked as J5 Emirates Hills (30million Dirham) and another tagged E146 Emirates Hills valued at 44million Dirham.

    “Some suspected apartments identified with some past and present political office holders were marked during a recent survey.

    “Definitely, the Federal Government wants these assets confiscated. And the seizure process requires court backing. The good thing is that the AGF and Magu are on the same page, they now have a better understanding of each other.”

    The source said as part of the working visit, the activities of some Dubai property companies in the country might be reviewed.

    It was also gathered  that some of these UAE firms were used by some public officers for money laundering.

    Another source added: “The EFCC actually raided one of the companies and retrieved sensitive documents and vital computers.

    “A top Nigerian lost about $402, 000 (N136.6m) to the company due to a phony real estate transaction.

    ” EFCC has also arrested two suspects for ferrying $986,000(about N147, 900,000) to Dubai, United Arab Emirates.

    Sections 28 and 34 of the EFCC (Establishment Act) 2004 and Section 13(1) of the Federal High Court Act, 2004 empower the anti-graft agency to invoke Interim Assets Forfeiture Clause.

    “Section 28 of the EFCC Act reads: ‘Where a person is arrested for an offence under this Act, the Commission shall immediately trace and attach all the assets and properties of the person acquired as a result of such economic or financial crime and shall thereafter cause to be obtained an interim attachment order from the Court.’

    Section 13 of the Federal High Court Act reads in part : “The Court may grant an injunction or appoint a receiver by an interlocutory order in all cases in which it appears to the Court to be just or convenient so to do.

    (2)          Any such order may be made either unconditionally or on such terms and conditions as the Court thinks just.”

    President Muhammadu Buhari in January 2016 signed a “Judicial Agreement on Extradition, Transfer of Sentenced Persons, Mutual Legal Assistance on Criminal Matters, and Mutual Legal Assistance on Criminal and Commercial Matters, which includes the recovery and repatriation of stolen wealth.”

    The Chairman of the Senate Committee on Foreign and Domestic Debts, Senator Shehu Sani said over $200 billion had been hidden in UAE.

    He said: “Over $200 billion are stashed away from Nigeria to Dubai alone. This may be the monies stolen since in the past 20 years. I am not talking about estates and bonds and other securities bought with Nigeria stolen money.”

    The anti-money laundering policy of UAE Central Bank reads in part: “Any person who commits, or attempts to commit, a Money Laundering offence shall be punished by imprisonment of up to 10 years and or a fine of between AED 100,000 and AED 500,000.

    “In cases of multiple perpetrators, the Court subject to its discretion, may exempt a perpetrator from the imprisonment penalty if he takes the initiative and reports the crime to the competent authorities prior to the knowledge of such authorities and if his actions lead to the arrest of the other perpetrators or seizure of the laundered money.

    “Any establishment that commits an offence of money laundering, financing of terrorism or financing of any unlawful organizations, shall be punished by a fine of AED 300,000 and AED 1,000,000.

    “Failure to report a suspicious transaction shall be punishable by imprisonment and /or a fine of between AED 50,000 and AED 300,000.

    “Tipping off a person being investigated regarding a suspicious transaction shall be punishable by imprisonment of up to one year and/ or a fine of between AED10,000 and AED 100,000.

    “Violation of the requirements of Airport Declarations shall be punishable by imprisonment and or a fine.”

  • Justice Ministry recovers N18.15b looted fund

    The Federal Ministry of Justice last year recovered over N18.15 billion looted fund, it was learnt yesterday.

    Minister of Justice and Attorney General of the Federation (AGF), Abubakar Malami (SAN) said efforts were on to recover more this year.

    “We have progressed in the recovery of looted funds. Last year, over N15 billion and $10.5 million were recovered,” Malami said.

    The AGF spoke in Abuja when members of the Senate Committee on Judiciary, Human Rights and Legal Matters, visited the ministry on oversight function.

    He said the Federal Government’s effort to prosecute the anti-corruption war and recover more looted funds was being hampered by the legislature’s delay in passing relevant bills.

    Malami noted that the absence of these laws informed the country’s non-admittance into the Financial Action Task force.

    The minister, who gave details of his ministry’s implementation of the Appropriation Act, said it fared well despite fund constraints.

    According to him, of the N3,921,612,815 allocated to the ministry last year, N3,723,833,877 was released, from which it spent N3, 672,730,661.16 in personnel and non-regular allowances.

    He solicited the cooperation of the lawmakers and assured them that the ministry would work them to further the interest of the country.

    Committee’s Chairman Senator David Umar assured the Malami of his committee’s readiness to assist the ministry surpass last year’s performance.

    He said the bills were being considered, noting that the delay resulted from the Senate’s insistence on ensuring that necessary procedures were adhered to.

  • N289 billion looted fund captured in 2017 Budget

    N289 billion looted fund captured in 2017 Budget

    THOSE who have been wondering where the Federal Government kept recovered funds got an answer yesterday.
    About N288.6 billion is in next year’s budget, according to Budget Office Director-General Ben Akabueze, who was fielding questions during the public presentation of the 2017 budget at the old Banquet Hall of the State House, Abuja.
    He said: “A total of N288.6 billion. This includes N97.6 billion, which is equivalent of $220 expected from the Swiss, part of what is called Abacha loot recovery. Then it also includes N72 billion that has already been received in recent cases of loot recovery.
    “And a balance of N90 billion, other expected recoveries that are at an advanced and reasonable stage that we feel comfortable and confident that they would come through in 2017 and so they have been reflected in the budget.”
    Budget and National Planning Minister Udoma Udo Udoma also allayed fears over the non-approval of the Medium Term Expenditure Framework (MTEF) by the National Assembly.
    According to Udoma, the National Assembly already has both the MTEF and the 2017 budget proposal and would work on them at its own pace.
    Stressing that the government was determined to pull Nigeria out of recession, he said: “We are determined to bring succour to our people. The only way is by taking strong actions to change the current trajectory of the Nigerian economy.
    “To get out of the recession and bring the country back on the path of growth, government must find the resources to spend on infrastructure, and to spend to reflate the economy.”
    Minister of State for Budget and National Planning Zainab Ahmed also admitted that the Social Intervention Scheme, otherwise called N-Power jobs, piloted by the Federal Government had not performed well.
    The programme, she said, encountered teething problems but the issues would be solved in the 2017 budget to meet the scheme’s objective.
    Giving a background to the budget proposal earlier, Udoma said: “Global economic activities remained sluggish in 2016. In particular, global GDP growth rate is projected at 3.1% for 2016 from 3.2% in 2015. Due to: (i)Lower-than-expected economic activity in the U.S, (ii) Uncertain economic, political and institutional implications of BREXIT (iii) Slowdown in China’s growth.
    “(iv) Weak demand in advanced economies and its spill-over effects (v) Geopolitical tensions in several countries.”
    In spite of the developments, he said that the outlook remained bright as global GDP growth rate is expected to rise to 3.4% in 2017.
    The challenges in the domestic environment in 2016 included Crude oil production shut-ins resulting from vandalism of oil facilities, insurgency in parts of the Northeast, fuel shortages and increase in electricity tariffs, kerosene and PMS prices in the first half of the year and Foreign Exchange (FX) scarcity.
    The factors, Udoma said, have constrained fiscal operations, real sector activities, and the external accounts.
    Other challenges in the domestic economy include Contraction in growth (-2.24% in Q3), high unemployment rate (13.9% as at Q3), higher inflation rate (18.5% as at November 2016), pressures on foreign reserves ($25.04 billion as at 14th December), and slowdown in corporate sector, resulting in lower credit quality and rising non-performing loans.
    Speaking on the Nigerian Economic Recovery and Growth Plan (NERGP), the minister said that a Medium Term Economic Recovery and Growth Plan (ERGP 2017 – 2020) was being finalised, which addresses the current economic challenges and is aimed at restoring growth.
    “The plan builds on the existing Strategic Implementation Plan (SIP), and contains strategic objectives and enablers required to revive the economy.  The strategic objectives of the NERGP are: (i) Pulling the economy out of recession; (ii)Investing in our people (iii) Laying the foundation of diversified, inclusive and sustainable growth.”
    On the approach to the Budget, he said: “The 2017 Budget is designed to expand partnership between public and private sectors, including development capital to leverage and catalyse resources for growth.
    “Other key objectives of the 2017 Budget include: (i) focusing on critical on-going infrastructure projects such as roads, railways, power, ICT, etc., that have quick positive effects on the economy; (ii) utilising Special Economic Zones and Industrial Parks as vehicles to accelerate domestic economic activity for innovation and wealth creation; (iii) contributing to food security and creating platform for agro-business in agriculture supply chains through the Agriculture Green Alternative Plan; (iv) establishing a Social Housing Fund to deepen the mortgage system and expand its availability across all states of the Federation; (v) encouraging and stimulating the growth of small and medium scale industries for innovation, job creation, productivity and wealth creation; and (vi) providing social safety nets for poor and vulnerable Nigerians.”
    The key assumptions and macro-framework for the 2017 Budget are: (i)Oil production – 2.2mbpd, (ii)Benchmark oil price – US$42.5/b, (iii)Exchange rate – N305/US$, (iv)Inflation rate- 15.74%, (v)GDP Growth Rate- 2.5%, (vi)Nominal Consumptio (N’trillion)- 87.95, (vii)Nominal GDP (N’trillion)-107.96
    According to him, the Key Budgetary Reform Initiatives to improve the revenue base of the country include: (i) Subjecting the JV operations to a new funding mechanism, which will allow for Cost Recovery, (ii) Sustaining the use of TSA to monitor the financial activities of over 900 MDAs from a single platform; (iii) Broadening the tax base, improve effectiveness of revenue collecting agencies, improve tax compliance etc;
    (iv) Reducing leakages by tacking trade mis-invoicing and introducing the single window to drive Customs efficiencies; (v) Improving the performance of independent revenue of government by ensuring that all MDAs (particularly revenue generating MDAs) present their budget in advance, and remit their operating surpluses as required by the FRA; (vi) Extension of the Integrated Personnel Payroll Information System (IPPIS) to all MDAs.
    Giving an overview of the Revenue framework, Udoma said: “Based on the key assumptions and budgetary reform initiatives, the 2017 Budget envisages a total revenue of N4.94 trillion, exceeding FY 2016 projection by 28%. The Projected revenue receipt from oil is N1.985 trillion and Non-oil is N1.373 trillion.  The contribution of oil revenue is 40.2% compared to 19% in FY 2016 driven mainly by JVC cost reduction, higher price, exchange rate and additional oil related revenues.”
    The largest recurrent allocations, according to him, are i. Ministry of Interior – N482.37 billion; ii. Ministry of Education – N398.01 billion; iii. Ministry of Defence – N325.87 billion; iv. Ministry of Health – N252.86 billion.
    “These four MDAs collectively take up about N1.46 trillion (about 70% of the combined provision for personnel and overhead). They have the largest share because of the size of their personnel. Some of the agencies and parastatals under these MDAs are yet to be captured on the Integrated Personnel Payroll Information System (IPPIS) platform.
    “The sum of N2 billion has been provided in the 2017 Budget for the capturing to ensure all personnel that are not enrolled on the platform are captured.
    Udoma said the Administration had allocated at least 30% of the Budget to Capital expenditure against 16% allocation in 2015.
    “In dollar terms, the 2017 budget proposal (at $23.80bn) is lower than 2016 estimates ($30.76bn)… we have grown the size of the Budget from 4.7% in 2015 to 5.9% in 2016 and to 6.7% in 2017. Compared with South Africa (20.7%) and Ghana (19.2%) as at 2015, this is very low.  The ratio of capital spending in total increased from 16% in 2015 to 30% in 2016 and 30.7% in 2017.
    “The increase in infrastructure spending is expected to enhance revenue generation opportunities and over time significantly reduce deficit,” Udoma said.